When should I buy a new vehicle?

[skives]

When do you guys know when to buy a new vehicle? Do you wait till the current one dies or at what point do you say it's time to upgrade?

[MonkeyMama]

We pretty much upgrade our cars when they die. As a 2-car family that is a fine strategy. If I were single, I may want to upgrade before my car died and I was left carless. But at current my spouse does not have a commute and we could really take our time replacing the second car.

We tend to keep our cars for 20 years so I may consider a "20 year" cutoff. I've just never had an older car than that and can see the benefit of upgrading safety and features. We save a *lot* of money buying modest cars and keeping them for decades. So I don't really have any interest in buying a newer car sooner than I have to.

[Drake3287]

I tend to buy a new vehicle every 5 years and switch between buying one for myself and my wife. I bought a new F150 4X4 a little over 4 years ago so when it's paid off next year I'll buy my wife a new car. I always keep our vehicles in perfect condition so they easily last 10 years and are easy to sell myself without having to trade it in to a dealer.

For the first time ever we no longer have to buy my wife a "family" car because of our kids being older now. Of course she wants something like a new 328i but I've never been one for buying luxury cars. The sad part is the price of a new 328i is about the same as my F150 was!

[disneysteve]

We tend to start getting nervous around the 150,000 mile point. That's when we've replaced the last 3 cars. At that point, the repair costs start piling up.

[skives]

We tend to start getting nervous around the 150,000 mile point. That's when we've replaced the last 3 cars. At that point, the repair costs start piling up.

My jeep is at 145,000 but the motor is 5 years old and has 25,000 miles on it.

[krantcents]

My rule of thumb is when the repairs equal or exceed the value of the car. My last car was 17 years old (about 165k miles). Cosmetically it looked new, but there was deferred maintenance (and repairs)that I no longer could put off. For example, replace timing belt ($700) and more.

[dawnwes]

We get rid of cars when the cost exceeds the worth of the vehicle as well.

We got rid of a 1996 Saturn last year. The repairs, even with DH doing the work, was going to be over $1,000. The car was not even worth that.

Dawn

My rule of thumb is when the repairs equal or exceed the value of the car. My last car was 17 years old (about 165k miles). Cosmetically it looked new, but there was deferred maintenance (and repairs)that I no longer could put off. For example, replace timing belt ($700) and more.

[JoeP]

We get rid of cars when the cost exceeds the worth of the vehicle as well.

We got rid of a 1996 Saturn last year. The repairs, even with DH doing the work, was going to be over $1,000. The car was not even worth that.

Dawn

But what does "worth" mean? Is it some amount suggested by a Blue Book, or is it the amount you'd want to accept in order to have a similar vehicle?

My car has a KBB Value of about $3500, but it is worth far more than that to me. To replace it, I would have to spend probably $6k to find a comparable vehicle, so someone would have to pay me $6k to part with it. That simply won't happen, because they've been told by the blue book that $3500 is the most they should pay.

For a car that has a KBB Value of $1000, you maybe could put $2k into it and get another 2 years worth of service. That $2k works out to about $83 a month, much lower than a car loan.

But people get tired of having to pay for repairs and tolerate the downtime. Plus, people like new things, and comforts like Blue Tooth and heated power seats. So the time to give up your current vehicle has many factors, and everybody's evaluation is different.

[ua_guy]

I think every situation is different, and I also don't feel that it's wrong to buy a new vehicle because you want one, provided you can afford it and won't be compromising other goals.

The decision to replace a vehicle shouldn't be based on book value alone when considering repairs. It's really more about what value the car can continue to provide in a repaired state even if the repairs are more expensive than the car is worth.

[MonkeyMama]

I think every situation is different, and I also don't feel that it's wrong to buy a new vehicle because you want one, provided you can afford it and won't be compromising other goals.

The decision to replace a vehicle shouldn't be based on book value alone when considering repairs. It's really more about what value the car can continue to provide in a repaired state even if the repairs are more expensive than the car is worth.

Bingo. I'd absolutely spend more than value of car to repair and keep driving a car that I know is reliable, for a few more years. A reliable/good car is priceless.

[theoracle]

My jeep is at 145,000 but the motor is 5 years old and has 25,000 miles on it.

The engine may be fine but the rest might be falling apart... brakes, suspension, radiator, turbo etc. They all start to fail and costs begin to add up. It may make sense to upgrade to a newer car rather than spend money on repairs/maintenance.

[snafu]

Everyone has a different criteria for replacing a vehicle. You can start by deciding if it's a 'Need' or 'Want.' Are you satisfied with 'new to you' or expect all the latest feature? How much cash do you have on-hand to buy another vehicle? The rule of thumb is no more than 36 month, 20% income. How much is your current vehicle worth on KBB? Are you willing to 'detail' your current vehicle, put an ad on CraigsList and/or Auto Trader and sell privately?

What do you need in another vehicle? I suggest checking a reference like Lemon Aid before setting foot at a dealership. Most vehicles after 2010 should be able to go 200,000. mi but all the GM call backs make me question the current thinking.

[MarkInCA]

One of my biggest fears is driving along on a freeway and then just having my car die on me. Luckily I've never been in that point, but that's because I generally buy a new car when my current car gets old enough and broken enough to make that fear a real possibility.

[JoeP]

Most vehicles after 2010 should be able to go 200,000. mi but all the GM call backs make me question the current thinking.

I hear this a lot, but those of us who live in the Salt Belt find their cars start rusting within 5-7 years of ownership. So while it might be possible for a car to go 200k miles, it would have to be by someone who drives it a lot, maybe 30k miles a year, and does not drive it in an area where roads are salted. Otherwise, suspension components and the underbody become so compromised that the vehicle itself can become unsafe.

I tend to look at YEARS instead of miles. Time is much harder on vehicles where I live.

[bjl584]

I have no set time line. I'll know when it's time to sell my current car. When repair costs start to feel like a car payment it's time to get rid of it. As long as it remains reliable and maintenance costs remain low, then I'll keep on driving it.

I expect to get 12 to 15 years out of it. That would be somewhere around 150,000 miles. But you never know what could happen. I take care of it and perform all scheduled maintenance, but something unforeseen like an accident could happen at any time.